As Filipinos head to the polls, fate of real estate market hangs on outcome of contest between Marcos’s son, experienced Robredo
- Election’s credibility and its outcome could determine if Philippine real estate is going to benefit from the polls, Cushman executive says
- About 703,000 square metres of new office space coming in for completion in Metro Manila
The Philippine presidential elections in May are likely to delay any investment decisions by investors and developers, as they wait and see if the new administration will be business-friendly, analysts said.
“Some investors might take a wait-and-see stance until the new president is elected,” said Joey Bondoc, associate director, research at Colliers Philippines. “Some developers are likely to resume developments and land banking once the new administration outlines its polices.”
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The Philippines’ property market has been a casualty of the pandemic, after several lockdowns to contain multiple waves of surging infections tipped the economy into its worst recession in 2020, contracting it by 9.5 per cent. Last year, boosted by higher consumption and coming off a low base from the previous year, the economy bounced back and grew 5.6 per cent.
In 2021, occupancy rates of the various segments of the property market – office, retail and residential, particularly mid-market flats – declined by 7 per cent to 20 per cent, according to property consultancy Cushman and Wakefield.
There are two factors that will determine if Philippine real estate is going to benefit from the polls, said Claro Cordero Junior, director, research, consulting and advisory services at Cushman. First, is the election’s credibility and second, its outcome.
